NATHAN TINKLER'S private company Mulsanne Resources has been given another week to negotiate with listed coal explorer Blackwood Corporation.

Mulsanne owes Blackwood $28.4 million under a share placement deal announced in May.

Under the deal, Mulsanne would pay 30¢ a share for 94.7 million shares in Blackwood - then a 50 per cent premium to the prevailing share price - to fund Blackwood's exploration campaign. Mulsanne would get the right to appoint two directors.

The placement was approved by Blackwood shareholders in July but the next month the explorer, whose controlling shareholder is the Noble Group, announced Mulsanne had sought an extension until August 13.

After that date passed without payment, Mulsanne took legal action.

In the NSW Supreme Court on Tuesday morning, Blackwood's counsel said that there were ''discussions taking place'' and asked for the matter to be stood over until November 14. The court agreed. Blackwood is understood to be keen to settle the case.

Mr Tinkler's financial situation has been subject of intense speculation and arms of his private empire have recently settled legal disputes with a subsidiary of developer Mirvac and contractor Sedgman.